Clampdown on For-Profit Schools Contributes to Decline

Borrowing for U.S. colleges declined for the third year in a row as the federal government clamped down on for-profit schools and families became more cost-conscious.

Federal and private-loan lending totaled $106 billion for the 2013-14 academic year, down 8% from the prior year, according to a report to be released Thursday by the nonprofit College Board. The decline marks a significant reversal in borrowing, which peaked at $122.1 billion in 2010-11 after rising for years.